Given the following assumptions:
What is the lowest total net worth that you would be comfortable purchasing a $3MM house?- 45 years old
- 22 years of high earnings
- Moderate desire to quit current job, with a likelihood of never returning to anything lucrative
- No pension or employer provided healthcare (after quitting)
- Requirement to live in VHCOL area to be close to family
- Desire to purchase a nice house on a large lot. Assume ~3-4 bedroom, 2.5 bath, 2200 sq ft.
- Excluding potential housing and healthcare costs for 2 people, other expenses/travel/hobbies aren't expected to exceed $60k/year total
- Net worth is accessible and invested sensibly for long term growth (60-70% in low cost equity index funds)
What about a $5MM house?
(In this area:
random $3MM house on zillow estimates $3,100/month in property tax and $750/month in insurance
random $5MM house on zillow estimates $5,000/month in proerty tax and $1200/month in insurance)